Strike Energy Limited has been awarded by the Department of Mines, Industry, Regulation and Safety a Production Licence – L24 for its South Erregulla gas field.
Strike’s government-backed Gas Acceleration and Development Strategy, which intends to increase incremental gas supplies into a tighter Western Australian gas market, includes the planned development. The awarding of the Production Licence ahead of the field’s final investment decision will allow Strike to more accurately control and estimate the completion and start-up of the South Erregulla Phase 1 development.
Strike is now able to submit the Facility Safety Case and Environment Plan required to begin construction of the projected Phase 1 development after the grant of the Production Licence.
On 22 August 2023, the South Erregulla-2 well was drilled, casing, and pressure tested to a depth of approximately 2,100m. Strike then drilled the intermediate section to 4,259m MD, conducting a change before reaching section depth and casing. Strike will then drill the well to total depth, passing through the principal target in the Kingia Sandstone.
The SE-2 well aims to demonstrate the continuity of the South Erregulla gas field to the West, expanding the 128 PJ of independently certified 2P Reserves before sanctioning development.
